Case Study nr 1

EPIC RESULTS
E-COMMERCE BEVERAGES

Case1. The client and summary of results
Our client, one of Romania’s largest alcohol beverage distributors, has been in operation since 1992 and has an annual turnover of 27 million euros. In early 2022, they aimed to expand into the consumer market segment by launching Frinks.ro, expanding their focus from their previous B2B model.

Summary of our results:

  • 124 EUR sales return for every 1 EUR spent

  • +4175% ROI increase and +253% in sales conversion rate

  • 82% reduction in Google Ads cost per sale

Situation and Objectives
We guaranteed a minimum 25% increase in the sales conversion rate and worked diligently to enhance the company’s profitability.
Even a few months after launch, Frinks faced a significant challenge: soaring costs per acquisition (CPA) resulting from excessive spending on Google, Facebook, and other platforms. Their profitability was severely impacted by this issue. Profitabil analyzed the business and set objectives to achieve.
  • Increase the sales conversion rate

  • Improve profitability

Analysis & Strategy
How we managed to sell all of Frinks’s stocks (hundreds) of certain beverages that previously had zero or only one bottle sold, all without increasing the marketing budget?

Frinks had a portfolio primarily consisting of good quality alcoholic beverages for which they were the sole importer, allowing for better margin control, but these products were relatively unknown to consumers. Additionally, Frinks distributed well-known alcoholic beverages with limited margin control, facing fierce competition, and high  Google & Facebook advertising costs.

We agreed with Frinks that participating in this price war would primarily benefit Google and Facebook profits.

We initiated the formulation of a personalized 360° approach marketing strategy for Frinks, which involved Paid & Social Media, SEO & Content, and enhancing brand visibility. The biggest challenge was how to effectively market relatively unknown beverages to consumers using the most cost-effective methods.
Insights from CRO

Old product page vs New product page

The optimization of the home page & product page nearly doubled the sales conversion rate (+96%).

While these product page changes seem minor, we leveraged expertise in UX, psychology, BE, branding, design, research, and data analysis.

➀ UX/ UI. Sharing Options Removed. No distracting elements like social media share buttons near ‘Add to Cart’—they hurt conversions. Changes to the ‘Add to Cart’ button, increasing its size for better visibility and providing ample space around the checkout button for emphasis.

➁ ➂ ➃ Behavioral Economics (BE). We’ve identified three critical pain points that may obstruct website visitors from taking action and adding items to their cart: 1. Will the bottle arrive intact? 2. Is the beverage genuine? 3. Who are these suppliers I’ve never heard of? The messages we’ve placed on the product page are intended to reduce visitor friction and address their pain points. We’ve used BE principles such as Cognitive Load, the Spark Effect, and Authority Bias.

Insights from Email Marketing

One email campaign for discounted products achieved a remarkable 44.4% click-through rate, surpassing the industry average by +770%.

Email marketing was a highly effective channel to promote and build brand awareness for Frinks’s lesser-known beverage products. We applied our email marketing expertise and BE principles on emailing campaigns.

We professionally managed email marketing campaigns and achieved over +140% performance improvement compared to industry averages for email click-through rate and popup discount form submit rate.

Insights from Social Media

We went from selling zero bottles to completely clearing the stock (hundreds) for certain wine selections.

Social media is key for new products and lesser-known brands; clear marketing strategies and audience engagement are vital. We spark curiosity, not impulse buying, through social ads. Our path: ads -> warming audience landing page -> product page.
Social Media Ads approach sample: “What wines do Italians from Abruzzo drink? One of them had been declared lost forever. There are two. Do you know which are the two types of wines? Are you an expert in Italian wine?” Visitors to Frinks’s landing page received answers, award-winning wine suggestions, and access to product pages with a discount coupon.
Insights from SEO & Content & Ads

We obtained 82% reduction in Google Ads cost per sale and 71% cost reduction for SEO & Content.

Frinks also distributed well-known alcoholic beverages with limited margin control, facing fierce competition, and high Google & Facebook advertising costs. We agreed with Frinks that participating in this price war would primarily benefit Google and Facebook’s profits. 

Therefore, we crafted a different strategy. We’ve switched our target audience from deal hunters to experience enthusiasts. Instead of bidding on famous drink brands, we targeted ads for keywords like ‘top 10 whiskeys’, ‘top 10 rum’, and more like these. Additionally, we developed an SEO and content strategy based on our data-driven insights.

ONE FINAL NUMBER FOR

A good marketing ROI ratio is typically considered to be 5:1 (5 EUR sales per 1 EUR marketing spent), while exceptional performance is around 10:1

We did 12x more than exceptional

We boosted Frinks’ sales to 124 EUR for every 1 EUR marketing spent, achieving a 124:1 marketing ROI ratio. May we call Epic Results?

No matter how perfect you think your marketing is, we discover opportunities to make it better.
✓ Expect Become your organization’s hero.

Our Epic Results, Their Words

Ruxandra Bitu, Owner Frinks

A remarkable ROI increase of +4175% was achieved for this top beverage distributor in only two months.

“Frinks partnered with top agencies but struggled with profitability. Profitabil quickly understood our business and guaranteed a minimum 25% increase in sales conversion rate and profitability. But they did 10 times more.

In about 2 months, we witnessed a remarkable +253% boost in sales conversion rate and outstanding profitability. Profound professionalism, unmatched expertise—stand out from other experts.”

Cristina Man, General Manager Valoris

From a startup call center to a leading company in the BPO market with 10 million EUR turnover.

“We have been exclusively working with Profitabil for 16 years on digital marketing consultancy.

The consistent number of leads generated over the years has been a significant factor in Valoris’ development: from a startup call center with 6 people in 2006 to the largest Romanian-owned Business Process Outsourcing company, with 600 employees and a 10 million EUR turnover in 2021.”

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No matter how perfect you think your marketing is, we discover opportunities to make it better.
✓ Expect Become your organization’s hero.
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7 small adjustments to the product page, resulting in a +96% increase in sales conversion.

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